Home prices

One Cupertino broker noted a small shift in the market, with buyers being more particular and willing to back out of deals.

First American’s Real House Price Index showed a record increase, reflecting both elevated home prices and fast-rising interest rates.

Sales of previously owned U.S. homes fell in March to the lowest since June 2020 as historically low inventory paired with rising mortgage rates curbed purchases.

Researchers at the government-sponsored enterprise noted the role rising rates are playing in increasing housing costs in its report, now offered publicly for the first time.

Nationally, prices jumped 19.2%, the fourth-biggest jump in data going back 35 years.

Federal Reserve Governor Christopher Waller said longer-run structural issues will continue to put upward pressure on home prices and rents even as the central bank begins a campaign to raise borrowing costs.

Sales of new U.S. homes fell in February for a second month, suggesting high prices and rising mortgage rates may be keeping prospective buyers on the sidelines.

Contract closings decreased 7.2% in February from the prior month to an annualized 6.02 million, figures from the National Association of Realtors showed Friday.

All indicators show that the renting market is heating up, as would-be buyers of houses increasingly turn to rentals because they can’t find — and can’t afford — their dream houses.

Before the pandemic, the sprawling architecture and physical distance from neighbors, bars and restaurants seemed out of step with city-obsessed millennials. That’s changed.

Rising interest rates are likely to further slow the rate of appreciation, the Federal Housing Finance Agency said in its quarterly Home Price Index report.

Remote workers and young families fleeing coastal cities for the Sun Belt during the pandemic spurred double-digit increases in housing costs and squeezed supply.

But Boise and Austin homebuyers pay the biggest premiums, according to a ranking of the top overvalued markets.

A measure of home prices in 20 U.S. cities jumped 18.3%, down from 18.5% in October, the S&P CoreLogic Case-Shiller index showed Tuesday. It marked the fourth straight month that home-price appreciation has cooled off ever so slightly.

In October, those factors outweighed a smaller rise in annual wage growth, and the gap will keep widening, according to a new First American Real House Price Index report.

Economists at Realtor.com and Redfin predict that across the country, rents will grow about 7% in 2022, higher than the predicted 3% growth in median home listing prices.

First-time buyers comprised just 26% of November transactions, down from 32% a year ago and matching the lowest share since 2014, the National Association of Realtors report showed.

“Rent of shelter” — a category that makes up a third of the CPI basket of goods and services prices — is up 3.9% from November 2020. That’s the most in 14 years but still pales in comparison to many private-sector metrics.

Sales are on track to exceed 6 million this year, which would be the strongest since 2006.